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Garry Taylor, the council's director of major projects, said: "We are in discussions with the HRA over using the land near the Premier Inn for housing.

"With the Fruit Market doing well, there is the potential for a housing boom in that part of the city centre.

"More and more people, particularly younger people, are looking at living in the city centre as a viable option."

The previous £100m Boom residential scheme which never got off the ground next to the River Hull with the Scale Lane bridge in the background.

Last month's launch of the Fruit Market housing scheme by developer WykelandBeal saw a total of 33 properties worth almost £7m being sold off-plan.

The properties are a mix of townhouses and apartments, arranged over two and three storeys, with a mix of traditional and contemporary styles.

Prices for properties released so far range from £149,995 for a two-bedroom apartment up to £274,995 for a three-bedroom townhouse with car port or parking space.

Launch day at the new Fruit Market housing development

Speaking at a council scrutiny meeting, Councillor Haraldo Herrera-Richmond said he favoured a more modern architectural style for any new housing next to the river.

Asked for an update on the drawn-out saga of the derelict former Rank Mill site next to Drypool Bridge, the council's director of regeneration Mark Jones said: "The situation is being pro-actively managed at the moment."